The RBA appears to be performing a rather fine balancing act.
Its Board knows rising inflation is about to emerge. And this is only temporarily masked by a poor March quarter, following the nation’s flooding earlier in the year. [Read more…]
RBA Reprieve …
But don’t be Fooled
9 June, 2011 by Leave a Comment
September Growth Figures
Just a Pothole in the Road
8 December, 2010 by Leave a Comment
Growth will continue.
Relax, it hasn’t all come to an end.
Sure, the Australian economy may have grown by only 0.2% in the September quarter. And retail sales might have actually fallen by 1.1% for October.
However, the overwhelming consensus is that this is merely an aberration.
And the underlying growth projections remain very favourable — with the full effect of the mining boom having resumed, due to be felt by mid-2011.
[Read more…]
Why November?
5 November, 2010 by Leave a Comment
Most people seemed taken by surprise, when the RBA chose to raise the cash rate to 4.75% on Cup Day this week.
However, with Oaks Day being held yesterday, I thought today would be better timing for this post.
Price Pressures
However, with industry facing capacity constraints and the mining boom heading towards previous levels … inflation is poised to accelerate during the December quarter, as wages start to rise.
[Read more…]
